President-elect Donald Trump is considering declaring a national economic emergency to provide legal justification for a large swath of universal tariffs on allies and adversaries, four sources familiar with the matter told CNN,

A national emergency declaration under IEEPA has long been considered as a key legal tool that Trump may invoke to take quick action on his campaign promise to impose a universal tariff of at least 10% on all imports into the US.

The move will allow Trump to build a new tariff program by using the International Economic Emergency Powers Act, which authorizes a president to manage imports during a national emergency, the report said.

President-elect Donald Trump is calling a report from The Washington Post about him considering scaling back his tariff plans, “fake news.”

The US dollar pared a sharp decline against most major currencies on Monday after US President-elect Donald Trump denied a report that his tariff plans won’t be as broad as originally feared, with the currency volatility buffeting traders who have piled into long positions on the greenback to open the year.